The moratorium on evictions is set to expire this week. If you look at the CDC website, it describes the action it took as “unprecedented,” the State of Texas has called it illegal. It is hard to argue with Texas. They sued the federal government saying that they had no powers inside of a state to regulate commerce. A judge in East Texas agreed, but did not issue an injunction.

The ruling is being appealed by the government, which will stretch out a while.  But in the meantime, people that have been living rent free for a year supposedly have a huge bubble of past payments that have piled up. Mom and Pop landlords have been going bankrupt and some have ended up homeless themselves. Presumably, the moratorium will have to expire some time. Or does it?

The government is probably going to initially kick the can down the road again. This is so they will not have to deal with the border crisis and a housing crisis at the same time, but the bills have got to be dealt with.

I am going to pause here and just point out the obvious. Everyone that has the capacity to think, knew that this was going to happen. If you give people a benefit like this, they will use it. Not just the people who really needed it, but a lot of people who probably didn’t need to, took advantage of the system. They would be idiots not to because they knew that if they paid their rent they would be the suckers when this thing ended. Why is that?

Because my bet is that the federal government will not want to deal with the nationwide outcry of the newly homeless and their advocates. There is also a faction of people in the US who believe that housing is a right of the people. If you follow that line of thinking, it is then the duty of the government to provide it.

So the great thief of the working people, Uncle Sam, will step in and erase the debt that has been accruing for a year. I have no idea how they will actually do this. It seems the easiest way would be to just pay everyone’s back rent. That would theoretically reset the system to the pre-pandemic status. It wouldn’t help the landlords who have already gone belly up, but what’s a few eggs. Or they could take the “housing is a right” path and just nationalize rental properties. That sounds crazy, but the government’s actions throughout the pandemic has not really been constrained by laws at any level.

One thing is for sure, more money is going to be made available to fix the problem they caused. And whether it is printed out of thin air, or taxed from those who still earn, it will be a redistribution of wealth. I can just picture all of the socialists in DC slapping each other on the back.